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2019-20 Luxury Tax Watch Thread

Discussion in 'Houston Rockets: Game Action & Roster Moves' started by justtxyank, Nov 18, 2019.

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Will the Rockets pay the luxury tax this season?

Poll closed Dec 18, 2019.
  1. Yes, they will end up adding SOMEONE, maybe even a role player, that pushes them over

    20.9%
  2. No, they will absolutely not

    58.1%
  3. They will if they can add a star, but otherwise no

    16.3%
  4. I abstain, courteously

    4.7%
  1. ashleyem

    ashleyem Member

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    Not worried. Dumping Nene and Green instantly move us behind the tax line with some room to maneuver.
     
  2. pippendagimp

    pippendagimp Member

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    "I'm not sure how we even got below the taxline, it was just some sort of fluke. I have authorized my GM to go into the luxury tax. We had some deals set up that I guarantee we would have been paying the tax, it just didn't happen this year"
     
    Nook likes this.
  3. YOLO

    YOLO Member

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    The Houston Rockets waived forward Ryan Anderson on Monday. He only appeared in two games and did not play after Nov. 3.

    Anderson was only guaranteed $500,000 after making the team’s opening night roster. The Rockets could have kept Anderson for four more days before his salary would’ve exceeded his guarantee, but they decided to part ways with him now.

    The Rockets are now carrying 14 players on the roster. If they finish the season with the exact same roster, they would be $178,984 above the luxury tax for a tax payment of $268,476.

    The Rockets can get below the tax by trading some of their minimum-salaried players by the deadline and then signing new players on pro-rated deals. This was a practice they engaged in last season in order to completely avoid the luxury tax.

    Nene, who was signed in order to be used as trade fodder, is widely expected to be traded once trade-eligible on January 15, 2020.

    One factor that can complicate the Rockets pursuit of avoiding the luxury tax is if Clint Capela earns some or all of his incentives. He has three incentives that can boost his salary by up to $2 million. Right now, he is on a rebounding tear and is on pace to have at least a 30 percent defensive rebounding percentage (currently at 33 percent per Basketball-Reference), which would give him an extra $500,000. He also must play at least 2,000 minutes to meet the criteria.

    Two-way player Chris Clemons, who is in the rotation after playing in eight of the team’s last nine games, is a candidate for the 15th roster spot. The Rockets could run out his two-way clock and then convert him onto the regular roster with a prorated minimum salary.

    The Rockets could trade both Nene and Gerald Green and have about $4 million in space below the tax. That should be plenty to work with for converting Clemons onto the regular-season roster, filling minimum roster requirements with 10-day contracts, and ultimately signing free agents to rest-of-season contracts while leaving some room for Capela’s potential incentives.
     
    Nook, Vivi and pippendagimp like this.
  4. pippendagimp

    pippendagimp Member

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    seriously, was there ever any doubt that this would be the endgame? smh
     
    Nook, LosPollosHermanos and J.R. like this.
  5. Os Trigonum

    Os Trigonum Contributing Member
    Supporting Member

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    wouldn’t TurboTax make all this easier? asking for a friend :cool:
     
  6. Vivi

    Vivi Member

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    Like others said i think Tilman would pay the tax only for a big name, sadly, cause that's not going to happen, not anytime soon at least.
     
    D-rock likes this.
  7. TilmanFinancialWindfall

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    Trade Nene and Green with a 1st round pick for Eric Pascall, Alec Burks, Willie Stein since the Warriors are rebuild ing and Warriors will be happy they will be able to get a 1st round pick for a second round pick in Pascall.
     
  8. TilmanFinancialWindfall

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    Turbox tax cost money. Tilman use free version of TaxAct
     
    da_juice and Os Trigonum like this.
  9. smp

    smp Member

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    Wow. The Rockets are poised to accidentally avoid the tax again. It’s amazing how that keeps happening! I would almost question it if Tilman wasn’t such a trustworthy guy. But since he is such a straight shooter, I’m going to shut up and listen to how avoiding the tax is purely accidental.
     
    D-rock and pippendagimp like this.

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